Analyze price-to-earnings ratios with forward/trailing comparison, PEG ratio, sector benchmarks, and earnings yield calculation.
This analyzer converts a stock's price and earnings figures into the ratios investors compare directly: trailing P/E (price over the last 12 months of EPS), forward P/E (price over projected EPS), the PEG ratio (P/E divided by expected earnings growth), and earnings yield (EPS as a percentage of price), plus a comparison against a chosen sector benchmark. The most common mix-up is entering a forward EPS estimate but reading the PEG or earnings yield as if it were built on trailing, reported earnings - which can make a stock look considerably cheaper or more expensive than its actual GAAP numbers support.
A concrete input and expected output from the current implementation.
Input
Price: $150.00, Trailing EPS: $6.00, Forward EPS estimate: $7.50, Expected 5-yr EPS growth: 15%
Expected output
Trailing P/E: 25.0, Forward P/E: 20.0, PEG (trailing): 1.67, Earnings yield (trailing): 4.00%, Earnings yield (forward): 5.00%
Trailing P/E is 150/6, forward P/E is 150/7.5, PEG divides the trailing P/E of 25 by the growth rate expressed as a plain number (25/15 = 1.67), and each earnings yield is EPS divided by price, expressed as a percentage.
The tool divides the price you enter by two different EPS figures independently: trailing EPS (the last twelve reported months) gives trailing P/E, and forward EPS (an estimate you supply, such as analyst consensus or company guidance) gives forward P/E. Both use the same price, so any gap between the two ratios comes entirely from expected earnings change, not price movement.
PEG is computed as P/E divided by the expected annual EPS growth rate entered as a plain number (15 for 15%, not 0.15), giving a rule-of-thumb sense of whether a multiple is justified by growth - a PEG near 1 is often read as fairly valued. The sector benchmark line simply places your entered P/E next to a reference figure for the industry you select, so you can see premium or discount at a glance.
No. Everything runs in your browser from the figures you type in - price, trailing EPS, forward EPS estimate, and growth rate. It does not connect to any exchange, brokerage, or financial data feed, so all inputs need to come from your own research.
Either can work, but stay consistent: pairing a trailing P/E with a forward growth estimate (or the reverse) is a common source of a distorted PEG. Use whichever combination you trust and note which one you used, since the tool won't flag the mismatch for you.
The example and behavioral notes were checked against the browser implementation. Standards and primary references below define the relevant format, formula, or platform behavior.
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